Deep Green Waste and Recycling Inc (DGWR)

[Slojab]

Bad news.

https://backend.otcmarkets.com/otcapi/company/dns/news/document/32494/content

MATERIAL EVENT: Ceasing Operations

In light of a sequence of recent events, Deep Green has suspended all business operations.
On March 31, 2018, one of our most significant customers, representing 14% of the company’s 2017 revenue, elected to start handling its construction waste management activities in house and terminated its agreement with Deep Green.

In June 2018, Deep Green attempted to renegotiate its factoring agreements with Advanced Energy Capital in order to restructure its terms more favorably for Deep Green. These negotiations broke down and Advanced Energy Capital stopped advancing funds to Deep Green under its factoring arrangement. AEC has subsequently issued a notice of default to Deep Green.

On June 29, 2018 our largest recurring revenue customer, representing over 22% of 2017 revenue, notified Deep Green that it would be terminating its agreement effective July 31, 2018.

Consequently, on July 13, 2018, due to cash uncertainty, Deep Green terminated all employees and suspended business operations until further notice.

On August 17, 2018 Deep Green agreed, in lieu of foreclosure, to assign its subsidiary companies, Compaction and Recycling Equipment, Inc. and Columbia Financial Services, Inc. to Mirabile Corporate Holdings, Inc. in exchange for Mirabile’s assumption of certain Deep Green debt, which was secured by the assets of those subsidiaries.

At this time Deep Green does not have the cash to operate or complete its financial statements and post its June 30, 2018 quarterly report. The company is currently seeking financial solutions. There can be no assurance, however, that the company will be able to obtain financing.